The issuance of the 3G licenses also marks the standardization of domestically developed TD-SCDMA technology. This has set a new record in China's telecom history by enabling the nation to set its first standard.

Nearly 340,000 subscribers in China have already used the TD-SCDMA network. Over the past six months, eight cities including Beijing and Shanghai have started up trial operations. The network provided services during the Beijing Olympic Games. And all provincial capital cities nationwide have also launched plans to utilize the technology. The issuance of 3G licenses have sped up the technology's development.

Wang Jianzhou, President of China Mobile said "After the operational tests and trials, the TD-SCDMA technology has gradually matured, both in terms of its network and mobile phone terminals."

During the first and second generations of mobile phone technology, market standards were set by global telecom magnates. This cost China a lot when the nation started to develop its 2G network in 1998. It had to import both system equipment and mobile phones from overseas.

But two years later, the country's Datang Telecom Technology proposed the homegrown TD-SCDMA system. It was then adopted as one of the three global standards for 3G technologies.

Yang Hua, Secreatary-General of TD-SCDMA Industry Alliance said "Only those who utilize the new standard will be able to participate in subsequent technology and market development. Mobile communications will not only contribute to the whole nation's economy, but also help increase both companies' overall competitiveness."

In a bid to further boost the development of the TD-SCDMA system, eight companies including Datang Telecom, Huawei and ZTE, have co-organized an industry alliance. So far, the alliance has 58 corporate members, covering various aspects of the industrial chain.

Lu Yu, Marketing Director of TD-SCDMA Industry Alliance said "At every level of the industrial chain, we have plenty of manufacturers. An effective, competitive environment has been formed. So far, the TD-SCDMA standard has developed into a massive industry, and it will continue to do so in the future."

Figures show that China Mobile has invested over 15 billion yuan in its TD-SCDMA network development. To attract more subscribers, the world's largest mobile carrier is also planning to fully link up its 2G network with the new one. 3G users then won't have to change their previous phone numbers or SIM cards.

Wang Jianzhou said "So far, networks in the first batch of ten cities have finished their linking projects. The second phase will be concluded by the end of June. And we have begun the preparation for the third phase. By 2011, all cities nationwide will be covered by the TD-SCDMA network."

Many countries around the world have adopted all three standards of 3G technologies simultaneously. Experts say the applications of the 3G standards will also drive up development of related industries.

Source: CCTV.com